Samsung Wants to Add Prepaid Wearables to Its Product Line

Samsung announced the launch of a new product line in conjunction with Ingenico and Smartlink, that it is calling the “Contactless Companion Platform” to enable users to load contactless devices with funds for payments.

With CCP in place, a user can make digital cash payments via any enabled contactless device of their choice, such as a dedicated smart card, wristband, key fob, or even a mechanical watch or a smart ring.

The unique CCP digital cash top up concept offers the user simple and easy solutions to allocate money and additional security parameters like validity and location for the device of choice. Money top up can be done in app (Android and iOS), PC and POS terminals.

The product is an example of how prepaid cards lead the way in the adoption of new payments technology, because it allows people to try something new without risking their payments credentials. The accompanying video gives as an example a runner loading up a training band before going out for a run and stopping to buy water along her route. It is likely that these are the kinds of niches where this technology will find a place. In places where open-loop contactless payments are accepted for fare box payments, commuters also might be adopters of the product.

Samsung has worked with terminal providers and mechanical watch makers. One advantage of this technology is that it appears to let nearly any object be converted into a payments device, independent of the operating system. This may open the door to more wearable payments because the product is more flexible.

Overview by Ben Jackson, Director, Prepaid Advisory Service at Mercator Advisory Group